Why choose J.P. Morgan Self-Directed Investing
J.P. Morgan Self-Directed Investing is a brokerage solution offered by J.P. Morgan Securities LLC (a J.P. Morgan affiliate), regulated by top-tier US authorities SEC and FINRA.
J.P. Morgan Self-Directed Investing charges little to no extra fees for trading US stocks, ETFs, mutual funds and US bonds. The account opening is seamless, fully digital and fast. The broker is owned by J.P. Morgan, which holds a banking license and is listed on the stock exchange. It is a good choice for beginner investors.
On the negative side, J.P. Morgan Self-Directed Investing is available only to US residents. The product portfolio is limited to stocks, ETFs, options, bonds and mutual funds. Lastly, research capabilities are weak as charting tools are limited and there are no recommendations or analytical tools.
- Commission-free US stocks, ETFs, funds and bonds
- Fast and fully digital account opening
- Well-established parent company
- Pays interest on uninvested cash
Fees
- Low non-trading fees
- Commission-free stock, ETF, fund and bond trades
We compared J.P. Morgan Self-Directed Investing's fees with two similar brokers we selected, Vanguard and Ally Invest. These competitors were selected based on objective factors like products offered, client profile, fee structure, etc. See a more detailed comparison of J.P. Morgan Self-Directed Investing alternatives.
Commission-free stock and ETFs
It’s extremely great as J.P. Morgan Self-Directed Investing has commission-free US stock trading.
Broker | US stock |
---|---|
J.P. Morgan Self-Directed Investing | $0.0 |
Vanguard | $0.0 |
Ally Invest | $0.0 |
J.P. Morgan launched J.P. Morgan Self-Directed Investing (formerly Chase You Invest) in 2018 as a commission-free service. The broker does not charge any fees or commissions for trading US stocks, ETFs, mutual funds and US bonds.
Nevertheless, they do pass on the regulatory and stock exchange costs to clients. Their costs are still competitive, as they charge only $0.01-0.03 per $1,000 principal for US stocks and ETFs, and a $0.65 per-contract fee for option trades.
Average margin rates
J.P. Morgan Self-Directed Investing USD margin rate fees are slightly lower than the industry average. USD margin rate fees are calculated as follows: SOFR + 4.75% for balances under $25k
Broker | USD margin rate |
---|---|
J.P. Morgan Self-Directed Investing | 10.1% |
Vanguard | 13.8% |
Ally Invest | 13.0% |
Low options commission
J.P. Morgan Self-Directed Investing US stock index options fees are about half of the industry average. US stock index options fees are calculated as follows: $0.65 per contract
Broker | US stock index options |
---|---|
J.P. Morgan Self-Directed Investing | $6.5 |
Vanguard | $10.0 |
Ally Invest | $5.0 |
The broker only charges $0.65 per option contract. There's also an additional transaction fee ranging between $0.02 and $0.05 per contract.
No inactivity fee, average withdrawal fee
No account fee or inactivity fee is charged.
Broker | Inactivity fee | Withdrawal fee |
---|---|---|
J.P. Morgan Self-Directed Investing | $0 | |
Vanguard | $0 | |
Ally Invest | $0 |
Note that no withdrawal fee applies if you have an account at Chase or use an ACH transfer. Withdrawals to other banks via wire transfer cost $25. We tested J.P. Morgan Self-Directed Investing as a Chase client, so we didn't pay a withdrawal fee.
Other commissions and fees
Low mutual fund commission: trading mutual funds involves the following charges - $0 per trade.
Low bond commission: US treasury bonds come with the following charges - Commission free investment on US Treasury bills, notes, bonds and new issues.
Broker | Mutual fund | US micro e-mini stock index futures |
---|---|---|
J.P. Morgan Self-Directed Investing | $0.0 | - |
Vanguard | $20.0 | - |
Ally Invest | $0.0 | - |
Safety
- Majority of clients belong to a top-tier financial authority
- High level of investor protection
- Banking background
Deposit and withdrawal
- No deposit fee
- Quick deposit and withdrawal - within 3 days
Account opening
- Fast
- Fully digital
- No minimum deposit
Mobile app
- User-friendly
- Good search function
- Order confirmation
Web trading platform
- User-friendly
- Good search function
- Order confirmation